DATE: June 4, 2024
TO: Honorable Mayor and City Council
FROM: Dominic Lazzaretto, City Manager
By: Linda Rodriguez, City Clerk
SUBJECT: DIRECTING CITY MANAGER REVIEW OF THE CITY’S CONFLICT OF
INTEREST CODE PURSUANT TO THE POLITICAL REFORM ACT OF
1974
CEQA: Not a Project
Recommendation: Approve
SUMMARY
The Political Reform Act of 1974 (the “Act”) requires that the City Council direct the City Manager to regularly review the City of Arcadia’s Conflict of Interest Code (the “Code”), in order to determine if changes are necessary. The Code identifies those employees who need to file an annual Statement of Economic Interest (Form 700) to ensure that they are not being unduly influenced by gifts and other financial favors. If necessary, a revised Code should be submitted to the City Council for approval.
It is recommended the City Council direct the City Manager to have the City’s Conflict of Interest Code reviewed pursuant to Government Code Section 87306.5, file a statement of review with the City Clerk’s Office no later than October 1, 2024, and have the Conflict of Interest Code revised based upon such review, if necessary.
DISCUSSION
The Political Reform Act of 1974, as amended, requires every local agency to review its Conflict of Interest Code by October 1 of even-numbered years, and determine whether it is up-to-date or in need of revision. The Conflict of Interest Code identifies those job classifications within the City that are categorized as decision-making positions, and not already among those positions mandated by State law to file Statements of Economic Interests (Form 700). The positions mandated by State law (Government Code Section 87200) to file Statements of Economic Interests are those held by the City Council, City Manager, City Attorney, City Treasurer, and the Planning Commission.
The City Council determines, with input from staff, what other job classifications entail participation with or enacting governmental decision-making, which may foreseeably
Review of City’s Conflict of Interest Code
June 4, 2024
have a material effect on any financial interest (Government Code Section 82019).
Such designated positions are then included in the City’s Conflict of Interest Code.
Individuals identified as holding those positions would be required to file a Statement of Economic Interests annually.
Additionally, the Act requires that the City Manager file a statement regarding the results of the review no later than October 1. If a change in the Code is necessitated by this review, it must be submitted to the City Council for approval within 90 days of the review deadline.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the environment.
FISCAL IMPACT
There is no fiscal impact associated with the review of the City’s Conflict of Interest Code.
RECOMMENDATION
It is recommended that the City Council determine that this action does not constitute a project under the California Environmental Quality Act (“CEQA”); and direct the City Manager to have the City’s Conflict of Interest Code reviewed pursuant to Government Code Section 87306.5, file a statement of review with the City Clerk’s Office no later than October 1, 2024, and have the Conflict of Interest Code revised based upon such review, if necessary.